New South Wales announces new policy to boost EV adoption

New South Wales announces new policy to boost EV adoption

New South Wales (NSW) has announced an ambitious plan to encourage people to switch from internal combustion engines to electric vehicles (EVs). Under the newly revealed plan, the NWS government is offering incentives like tax rebates on purchase of new EVs and millions of dollars for the expansion of fast charging infrastructure. The sweet EV rebate is available on the first 25,000 battery-powered or hydrogen fuel cell vehicle buyers whose EVs costs below $68,750.

NSW Government’s official website about the new policy states, “Anyone who is purchasing a new battery electric and hydrogen fuel cell vehicle for less than $68,750 (including GST) will be eligible to apply for a $3,000 rebate.”

However, nothing has been mentioned about what number of wheels required for an electric vehicle to qualify for the tax rebate. Two-wheelers like motorcycles have not been specifically excluded from the tax rebate in the new policy.

In Victoria, the EV policy that has already taken effect will see all EVs pay a flat fee of merely 2.5 cents per kilometer. Supporters of the policy say that this flat fee will help recover the fuel excise tax that EVs won’t be paying. However, some opponents of the new policy continue to argue that this is among the worst EV policies implemented thus far. The critics are arguing that the new policy will do nothing more than dissuading people from switching from ICEs to EVs.

The new EV policy of NSW also plans to put into practice a similar road use tax for EVs. But, the policy is delaying that implementation for a time. As per the current plans, it will be implemented from July 1, 2027 or when EVs will make up for at least 30 per cent of all new vehicle sales in the state, whichever arrives first.

The NSW government has also decided to remove stamp duty fees from EVs with price tags of under $78,000, as of 1st of September this year.

NSW, which shares borders with Queensland to the north, South Australia to the west, and Victoria to the south, is among the first Australian states to announce a policy to encourage the switch from ICEs to EVs. The policy is, obviously, a part of the government’s bigger plan to cut carbon emission to help prevent global warming and climate change.